Estimates Show Decrease In GDP

The preliminary estimates of GDP published by the Office for National Statistics show that GDP has decreased by 0.8% in the second quarter of 2009 compared to Q1. The decline was due to noticeable decreases in all component aggregates. Manufacturing has decreased by 0.3% which is an improvement on the last few quarters and production in total is estimated to have decreased by 0.7%. Total services have decreased by 0.6%. The decrease in business services and finance was 0.7% compared with 2.5% in the last quarter. They contributed most to the decline in total output. Output in the construction industry decreased by 2.2% compared with 6.9% in the last quarter. Decreases in other measured sectors were in distribution, hotels and restaurants 0.5% this quarter compared with 1.5% in the last, transport, storage and communication 2.1% compared to 3%, government and other services decreased by 0.2% compared with an increase of 0.2% in the last quarter. The biggest contributor to the decrease was public administration and defence. The agricultural sector decreased by 2.3% compared to 0.1% in the last quarter.